EUR/GBP, EUR/USD and GBP/USD await US non-farm payrolls
EUR/GBP, EUR/USD and GBP/USD await US non-farm payrolls after BoE governor’s comments which led to a sharp fall in the Pound Sterling.
EUR/GBP saw huge rally
EUR/GBP's rally off its near 2 1/2 year £0.8311 low has taken it close to the 55-day simple moving average (SMA) at £0.8445 which is expected to cap on Friday, together with Thursday's £0.8434 high. Further up resistance can be spotted at the £0.8463 high.
The breached August-to-October downtrend line at £0.8380 as well as the 25 September high at £0.8372 may act as short-term support.
EUR/USD test key support
EUR/USD slid to but so far held around the $1.1002 September low, a fall through this level would be short-term bearish and put the mid-July high at $1.0948 back on the cards.
For now the cross continues to oscillate around its 55-day SMA at $1.1029 though with the 19 to 23 September lows at $1.1069-to-$1.1083 acting as resistance. While this zone caps, downside pressure should be maintained.
GBP/USD drops further
GBP/USD has so far fallen to $1.3093 on dovish comments by the Bank of England (BoE) governor Andrew Bailey and remains on track for the 55-day SMA and the September low at $1.3057-to-$1.3002. This support zone is key for the medium-term trend as a fall through it could lead to the 200-day SMA at $1.2778 being revisited.
While the $1.30 mark underpins, the medium-term uptrend remains intact though. Minor resistance can be found at the early September high at $1.3239.
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.
Start trading forex today
Find opportunity on the world’s most-traded – and most-volatile – financial market.
- Trade spreads from just 0.6 points on EUR/USD
- Analyse with clear, fast charts
- Speculate wherever you are with our intuitive mobile apps
See an FX opportunity?
Try a risk-free trade in your demo account, and see whether you’re onto something.
- Log in to your demo
- Take your position
- See whether your hunch pays off
See an FX opportunity?
Don’t miss your chance – upgrade to a live account to take advantage.
- Get spreads from just 0.6 points on popular pairs
- Analyse and deal seamlessly on fast, intuitive charts
- See and react to breaking news in-platform
See an FX opportunity?
Don’t miss your chance. Log in to take your position.
Live prices on most popular markets
- Equities
- Indices
- Forex
- Commodities
Prices above are subject to our website terms and agreements. Prices are indicative only. All share prices are delayed by at least 15 minutes.
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
